Halfords (#HFD) – acquisition of B2B automotive services business Lodge Tyre for initial £33.2m
- 2022-10-05 07:26:57
Hello Share Shufflers. Good old Halfords (HFD) is a household name that still survives on the high street. It’s just released a 20-week trading update that’s rather encouraging. And we shouldn't be surprised because the company is taking advantage of some growing trends in both the cycle and the car world.
Seven months ago, I wondered if Halfords Group (HFD) - the “largest retailer of motoring and cycling products... in the United Kingdom” - was a potential bad-day buy. Since then, the stock has halved! Have we hit the bad-day buy level, or not?
Hello, Share Sparkers. While investing in most retailers is probably not recommended now, there are one or two outfits that escape the current headwinds. I’ve commended Halfords (HFD) before as it’s hard to see how the stores won't benefit from covid before, now and in the future.
Back in September I observed about Halfords (HFD) that ‘despite the slowdown in its cycling business, I would buy it sub 310p’, which was about the then share price. Judging by this morning’s just over 310p share price, we are back to about the same level. That is not however to say there has been no changes, after all the stock is up over 10% this morning. Hence Halfords shares have had a rather mixed couple of months before today. So what is going on?
Hello, Share Tweakers. The Iron Man contest, which involves people going to the giddy limit in cycling, running and swimming was called off in our Welsh town because of covid. But it still didn't stop an army of serious-looking cyclists descending on us this month to go through the motions, anyway. And there’s no getting away from it that pedal-pushing is becoming more popular. Cycle tracks are appearing all over our towns and cities as commuters and shoppers move away from smelly old petrol.